IT Commissioner for simplification of tax
THE MORE taxation system is simplified, better would be compliance, Commissioner of Income Tax, Bhopal Prakash Chandra said here last evening.india Updated: Mar 04, 2006 15:58 IST
THE MORE taxation system is simplified, better would be compliance, Commissioner of Income Tax, Bhopal Prakash Chandra said here last evening.
Addressing the discussion on the recently announced Union Budget 2006-07 organised by Income Tax Payers’ Association, the IT Commissioner said the ‘Simplification Bill’ presently under consideration and expected to be public in coming days, would prove beneficial both for tax department and taxpayers.
Referring to Finance Minister P Chidambaram’s statement, “there’s not much change in direct tax”, Chandra remarked it would provide stability to tax policies.
Giving example of MNCs operating in India, he said these companies hire topmost tax consultants not for saving income tax, but to see that the company complies to all tax laws and avoids any kind of confrontation with the State on tax issue.
“This spirit should be with all tax payers,” the commissioner asserted. Highlighting some of the new elements in direct tax in the budget, he said the present budget has come up with more procedural changes rather than introducing new taxes.
“Abolishing of section 1/6 of the IT Act would give relief to small taxpayers as it was a statutory obligation on their part to file IT returns,” he pointed out. He also dealt with the issues like getting rebate etc, under section 43 (B) of IT Act.
Chandra also said TDS return could be filed on quarterly basis henceforth. “It’s a step towards simplification and voluntary tax compliance,” he added. The Commissioner also hoped that in the new fiscal percentage of voluntary tax compliance would go up.
Referring to the budget, the president of the Association, SS Agarwal said the assessment time reduced might cause inconvenience. He also dealt with issues related to income tax and problems being faced by businessmen.
Later, spokesman of the Association, Anupam Agarwal said the discussion was organised so that taxpayers could clear their doubts, especially after coming of the new budget. “In the coming days, we would organise many such seminars,” Agarwal added.